ELIGIBILITY

HDB Resale Flat

Eligibility

You can buy an HDB resale flat when you meet the conditions of our eligibility schemes indicated below. In general, there must be at least 1 Singapore Citizen or 2 Singapore Permanent Residents listed in the flat application.

To check your eligibility to buy a resale flat, register your Intent to Buy through the HDB Resale Portal.

Eligibility Schemes

The eligibility conditions in the following table apply to all resale flat purchases. Please refer to the individual schemes for information on the following criteria:

Citizenship

Age

Family nucleus

Ethnic Integration Policy (EIP) and SPR quota

Special conditions

Eligibility conditions that apply to all schemes

Income ceiling

There is no income ceiling for buying an HDB resale flat. However, you may wish to note that there are income ceilings for CPF Housing Grants and HDB housing loans.

Ownership/ interest in HDB flats

If you or any persons listed in the application owns an HDB flat, you must dispose of the HDB flat within 6 months of the resale flat purchase.

Ownership/ interest in property in Singapore or overseas other than HDB flats

If you or any person listed in your resale flat application owns a private property either locally or overseas, you must dispose of all private properties before or within 6 months of the resale flat purchase.

Note: If you own a private property, you are not eligible for a CPF Housing Grant or an HDB housing loan.

Public Scheme: Buy an HDB resale flat with your family. For example with your wife and children, parents and siblings or childre (if you are widowed or divorced).

Public Scheme Criteria

Details

Citizenship

You must
Be an SC or SPR
Include at least 1 listed occupant who is an SC or SPR
SPR household (i.e. a SPR household with no SC owner): All SPR owners and essential occupiers must have SPR status for 3 years before they can buy a resale flat.

Age

21 years old or above

Family nucleus

You must form a family nucleus with 1 of the following groups. Your:
Spouse and children
Parents and siblings (if you are a single SPR buying with parents, at least one of your parents must be an SC or SPR)
Children under your legal custody, care and control (for widowed/ divorced persons)

EIP and SPR quota

You must meet the EIP and SPR quota for the block/neighbourhood when you submit the resale application.

You and your fiancé or fiancée must be either:
SC or SPR
SPR household (i.e. a SPR household with no SC owner): All SPR owners and essential occupiers must have SPR status for 3 years before they can buy a resale flat.

Age

21 years old or above

Family nucleus

Your fiancé or fiancée must be listed in the application as either:
A co-applicant (if 21 years old or above)
An occupant
Note: Special conditions apply for fiancé or fiancée below 21 years old.

EIP and SPR quota

You must meet the EIP and SPR quota for the block/ neighbourhood when you submit the resale application.

Special conditions

You and your fiancé or fiancée must:

Register your marriage with the Registry of Civil Marriages or Registry of Muslim Marriages
Submit your marriage certificate to us within 3 months from resale completion date
If applying for CPF Housing Grant

You must submit your marriage certificate on or before the resale completion date
Consent of parents

If your fiancé or fiancée is between 18 and 21 years old, his/ her parents must agree to the purchase.
Special Marriage Licence

If your fiancé or fiancée is below 18 years old, you need to apply for a Special Marriage Licence from the Ministry of Social and Family Development and submit it to us for verification.
Divorcees are required to produce the following for verification:
Interim Judgment (previously known as Decree Nisi)
Order of Court
Final Judgment (previously known as Decree Nisi Absolute)

Single Singapore Citizen Scheme: Buy an HDB resale flat as a single. You must be at least 35 years old if you are unmarried or divorced and at least 21 years old if you are widowed or an orphan.

Single Singapore Citizen Scheme Criteria

Details

Citizenship

You must be an SC

Age

Unmarried or divorced: 35 years old or above
Widowed or an orphan: 21 years old or above

EIP and SPR quota

You must meet the EIP and SPR quota for the block/neighbourhood when you submit the resale application.

Special conditions

For orphans:
At least one of your deceased parents must have been an SC or SPR
If you are below 35 years old, you must not have another sibling who is below 35 years old buying/owning another flat under the:
​Orphans Scheme
Single Singapore Citizen Scheme
Joint Singles Scheme

Joint Singles Scheme: 2-4 singles can jointly buy an HDB resale flat. If you are unmarried or divorced, you must be at least 35 years old. If you are widowed or an orphan, you must be at least 21 years old.

Joint Singles Scheme Criteria

Details

Citizenship

You and all the co-applicants (2-4) must be SCs

Age

Unmarried or divorced: 35 years old or above
Widowed or an orphan: 21 years old or above

EIP and SPR quota

You must meet the EIP and SPR quota for the block/neighbourhood when you submit the resale application.

Special conditions

The flat must be bought jointly, i.e. each single SC must be listed as a co-applicant
For orphans
At least one of your deceased parents must have been an SC or SPR
If you are below 35 years old, you must not have another sibling who is below 35 years old buying/owning another flat under the:
Orphans Scheme
Single Singapore Citizen Scheme
Joint Singles Scheme

Non-Citizen Spouse Scheme: if your spouse is not an SC or SPR, you can buy an HDB resale flat under the Non- Citizen Spouse Scheme.

Non-Citizen Scheme Spouse Criteria

Details

Citizenship

You must be an SC

Age

If you are 21 years old or above
Your spouse must have a valid Long Term Visit Pass or Work Pass at the time you submit your application to buy a resale flat. The pass must have a validity period of at least 6 months from the date of issue.
If you are 35 years old or above
Your spouse must have a valid Visit Pass or Work Pass at the time you submit your application to buy a resale flat. The pass need not have a validity period of 6 months from the date of issue.
Note: If the pass expires during the transaction to buy a resale flat, it must be renewed and valid at the time you complete the resale flat purchase.

Family nucleus

Your non-citizen spouse must be listed in the application as an occupier

EIP and SPR quota

You must meet the EIP and SPR quota for the block/neighbourhood when you submit the resale application.

Non-Citizen Family Scheme: If you are a single SC and your family members (e.g. parents) are not SCs or SPRs, you can buy an HDB resale flat under the Non-Citizen Family Scheme

Non-Citizen Family Scheme Criteria

Details

Citizenship

You must be an SC

Age

21 years old or above

Family nucleus

You must form a family nucleus with 1 of the following groups:
Your parents and siblings (if any)
Children under your legal custody, care and control (for widowed/ divorced persons)
At least 1 parent/ child must have a valid Long Term Visit Pass or Work Pass at the time you submit your application to buy a resale flat. The pass must have a validity period of at least 6 months from the date of issue.

Note:If the pass expires during the transaction to buy a resale flat, it must be renewed and valid at the time you complete the resale flat purchase.

EIP and SPR quota

You must meet the EIP and SPR quota for the block/neighbourhood when you submit the resale application.

Orphans Scheme: If you and you sibling(s) are orphans and single, you can jointly buy an HDB resale flat

Orphans Scheme Criteria

Details

Citizenship

You must:

Be an SC
Include at least 1 unmarried SC or SPR sibling as a co-applicant or occupant in your application

Age

21 years old or above

EIP and SPR quota

You must meet the EIP and SPR quota for the block/neighbourhood when you submit the resale application.

Special conditions

Your application must comprise yourself (an unmarried orphan) and your unmarried sibling(s)
At least one of your deceased parents must have been an SC or SPR
If you are below 35 years old, you must not have another sibling who is below 35 years old buying/owning another flat under the:
Orphans Scheme
Single Singapore Citizen Scheme
Joint Singles Scheme

Conversion Scheme: Subject to approval, the Conversion Scheme allows you and you family to buy adjoining flats that are 3-room or smaller and convert them into 1 unit.

Conversion Scheme Criteria

Details

Citizenship

You must:
Be an SC or SPR
Include at least 1 listed occupant who is an SC or SPR

Age

21 years old or above

Family nucleus

You must form a family nucleus with 1 of the following groups:
Your spouse and children (if any)
Your parents and siblings (if any)
Children under your legal custody, care and control (for widowed/ divorced persons)

EIP and SPR quota

Option 1 (Buy 2 adjoining 3-room or smaller flats)
You must meet the EIP and SPR quota for the block/neighbourhood when you submit the resale application
Option 2 (Buy the 3-room or smaller flat that adjoins your currently owned 3-room or smaller flat)
No EIP/ SPR quota restriction

CPF Housing Grant: You may be eligible for certain CPF Housing Grants. This depends on the eligibility scheme you purchase your flat under.

What if I am an undischarged bankrupt?

Prior consent must be obtained from the Official Assignee (OA) or the private trustee, if you are applying to buy an HDB flat that is bigger than a 5-room flat or a 3Gen-flat. From 1 February 2016 onwards, prior consent is also required to buy any flat type with a net purchase price of $500,000 or above, after taking into account any HDB subsidies or levy.

You do not need to seek prior consent from the OA or the private trustee to be listed as an occupier of a HDB resale flat.

CONVERSION SCHEME APPLICATION PROCEDURE

HDB Resale Flat

Conversion Scheme Application Procedure

To buy adjoining flat(s) under the Conversion Scheme, you will need to do the following:

Contact us to confirm whether pairing the 2 flats is possible

Check what needs to be done in terms of financing

Convert the 2 flats into 1 unit

In addition, please note the conditions for selling, as well as how the upgrading costs are calculated for your converted flat.

Contacting us to confirm if pairing the flats is possible

Download this Enquiry on Combination of Flats under the Conversion Scheme application form

Complete the form and submit it to our Resale Operations Section

We will assess the HDB resale flats and inform you on whether pairing the flats is possible. If so, you can then proceed with the purchase

Checking what needs to be done in terms of financing

If you are buying 2 adjoining flats, you can treat them as a single unit when applying for financing, i.e. a single housing loan covering both flats

If you are buying a flat adjoining your current unit and you are servicing a housing loan, that loan must first be discharged

The adjoining flat can be financed following either of these steps:

If the adjoining flat is to be financed with a bank loan:

Check with the bank on the new total loan amount, i.e. how much is needed to discharge your current loan and purchase the adjoining flat

Ensure that the outstanding HDB/ bank loan for your existing flat is discharged before you purchase the adjoining flat

If the adjoining flat is to be financed with an HDB housing loan, and the current flat is financed with a bank loan:

The HDB housing loan will only be for the amount needed to purchase the adjoining flat, and not for the discharge of your current housing loan

You will need to check with the bank on how to discharge the loan for your current flat, and ensure that you do so before you purchase the adjoining flat

Converting the 2 flats into 1 unit

Upon completing the purchase of the adjoining flat(s), the adjoining flats must be converted into a single unit by doing the following:

Engage a registered renovation contractor to construct at least 1 opening of at least 1 metre by 2 metres between the 2 units

Engage a licensed contractor to remove the PUB meters (electricity, water, and gas supply) for 1 of the 2 units

You can retain your existing flat number for the converted flat.

Conditions for selling the converted flat

You can sell the converted flat:

After fulfilling the Minimum Occupation Period from the date the flat(s) purchase is completed

In accordance with the prevailing resale policy

If you bought 1 adjoining flat and your original flat was bought from HDB, you will be treated as having sold a flat and are required to pay the resale levy when you sell the converted flat

If you bought 1 adjoining flat and your original flat was the second flat bought from HDB, you will no longer be eligible to buy another flat from HDB

Upon converting the adjoining flats, you cannot later sub-divide the converted flat for sale, transfer, surrender, etc.

Payment of upgrading costs for the Main Upgrading Programme (MUP)

If the purchase is completed before MUP polling:

You will have to pay the upgrading cost based on the re-designated flat type, i.e. converted flat

If the purchase is completed during or after MUP polling:

You will have to pay the upgrading cost based on the total upgrading cost for both flats

As each Singapore Citizen household is only allowed to receive 1 upgrading subsidy, the subsidy for the second flat will be reduced. This applies even if you have not previously received an upgrading subsidy

If the precinct has voted to have a Space-Adding Item under the MUP, you will have to pay for the 2 additional space-adding items

HDB Resale Flat

ETHNIC INTEGRATED POLICY AND SPR QUOTA

HDB Resale Flat

Ethnic Integration Policy and SPR Quota

When buying an HDB resale flat, buyers need to ensure they are within the EIP proportion for the block/ neighbourhood, and if applicable, the SPR quota as well.

How the EIP and SPR work

The EIP proportion applies for any HDB resale flat. In addition, the SPR quota applies to non-Malaysian SPR households.

Malaysian SPR household:At least 1 Malaysian SPR is listed as a buyer, and no SC is listed as a buyer – EIP

Non-Malaysian SPR household: All of the buyers are non-Malaysian SPRs, i.e. no SCs or Malaysian SPRs listed as buyers – EIP & SPR

You are considered as having fulfilled the EIP proportion or SPR quota under these circumstances:

You are within the block/ neighbourhood’s limits in terms of your ethnic group and the SPR quota,

You and the seller are of the same ethnic group and household citizenship type

Check your eligibility

You can use our e-Service to check if you are eligible to buy an HDB resale flat in a particular block or neighbourhood under the EIP and SPR quota.

Note:The ethnic proportions and SPR quota are updated on the 1st of every month, and will apply to all completed* resale applications received during that month.

* A resale application is deemed as complete only when HDB receives both the buyers’ and sellers’ portion of the resale application.

About the EIP

The EIP is in place to preserve Singapore’s multi-cultural identity and promote racial integration and harmony. It ensures that there is a balanced mix of the various ethnic communities in HDB towns. The EIP proportion set for a block/ neighbourhood is based on the ethnic make-up of Singapore.

About the SPR quota

Non-Malaysian SPR households applying to buy an HDB resale flat need to be within the SPR quota for the block/ neighbourhood. The SPR quota ensures that SPR families can better integrate into the local community. Malaysians are excluded from this quota because of their close cultural and historical similarities with Singaporeans.

SPR Quota for Non-Malaysian SPR Households

Neighbourhold – 5%

Block – 8%

HDB Resale Flat

COSTS AND FEES

HDB Resale Flat

Costs and Fees

When you buy an HDB resale flat, you should also take into account the costs and fees that you may need to pay. These charges are in addition to the resale price of the flat:

Resale application administrative fee

Buyers and Sellers will each pay an administrative fee.

Buyers and sellers will each pay an administrative fee (inclusive of GST) of $40 or $80, depending on the flat type.

* Fees paid are non-refundable and include GST. Payments are made via credit card when using the HDB Resale Portal, and via GIRO when using the Estate Agent Toolkit.

Processing fee for Request for Value

Buyers must submit a request to HDB to determine the flat’s value if they intend to buy a resale flat using their CPF monies and/ or a housing loan.

If you intend to buy a resale flat using your CPF money and/ or a housing loan, you must submit a request to HDB to confirm the flat’s value. The value will form the basis for determining your CPF usage and/ or the housing loan from HDB or bank/ financial institution, unless otherwise advised by a bank/ financial institution. You will need to pay a processing fee* of $120.

* Fees paid are non-refundable and include GST. Payment can be made via credit card when using the HDB Resale Portal, and via GIRO when using the Estate Agent Toolkit.

Insurance

If you are taking a housing loan from HDB, you must purchase a fire insurance policy from our appointment insurer, FTIQA.

If you are taking a housing loan from HDB, you must purchase a fire insurance policy from our appointed insurer, ETIQA.

A valid Certificate of Insurance issued by ETIQA must be produced on the date you complete the purchase of your resale flat.

You can get more details on HDB fire insurance from the ETIQA website, or through the ETIQA enquiry line: 6331-9253.

Administrative fee for Temporary Extension of Stay by flat sellers

An administrative fee will be payable to HDB if you agree to the seller’s request to extend their stay temporarily in the resale flat.

If you agree to the seller’s request to extend their stay temporarily in the resale flat, an administrative fee of $20 (inclusive of GST) will be payable to HDB.

Legal Fees

The legal fees to be paid depend on the solicitor you appoint to act for you.

The legal fees to be paid depend on the solicitor you appoint to act for you. If you engage HDB to act for you in the purchase, you can get an estimate of the cost using our Legal Fees Enquirye-Service. More information on the breakdown of legal fees is detailed below.

Breakdown of legal fees payable

When buying an HDB resale flat, the various legal fees can be paid using CPF savings, cashier’s order, or NETS. However, Caveat and Title Search fees are only payable by cashier’s order and/ or NETS.

The Conveyancing, Caveat, and Title Search fees are paid after acknowledging the resale documents in the HDB Resale Portal. If you do not have enough CPF to pay the Stamp Duty in full, you will have to pay the balance on the Resale Completion date by cashier’s order and/ or NETS.

Singapore Permanent Resident households buying their first HDB resale flat are required to pay Additional Buyer Stamp Duty (ABSD) on top of the existing Buyer’s Stamp Duty (BSD). It can be paid by CPF savings, cashier’s order and/ or NETS, and is due within 10 days from the First Appointment date. The amount due is 5% of the purchase price or market valuation, whichever is higher. Please refer to IRAS’ website for more information on the ABSD.

If HDB’s solicitor is acting for you

Type of Fee

Amount

Conveyancing fees
To HDB (Subject to GST)

For transfer
(Based on selling price and subject to a minimum fee of $20; fee is rounded up to the nearest dollar)
First $30,000: 13.50 cents per $100 or part thereof
Next $30,000: 10.80 cents per $100 or part thereof
Remainder: 9 cents per $100 or part thereof
For mortgage*
(Based on loan amount and subject to a minimum fee of $20; fee is rounded up to the nearest dollar)
First $30,000: 13.50 cents per $100 or part thereof
Next $30,000: 10.80 cents per $100 or part thereof
Remainder: 9 cents per $100 or part thereof
* Notes for mortgage conveyancing fees:
For housing loan from HDB
If our solicitor is acting for you in the mortgage of the flat to HDB, we will charge:
A full-scale fee as HDB’s solicitor (subject to a minimum fee of $20 for 1 and 2-room flats, and $40 for other flat types)
Half of the scale fee as the mortgagor’s solicitor (subject to a minimum fee of $20 for all flat types)
For housing loan from a bank
If our solicitor is acting for you in the mortgage of the flat to the bank, we will charge:
Half of the scale fee as the mortgagor’s solicitor (based on the loan amount from the bank)

Stamp duty
To Commissioner of Stamp Duties
You can also use the Stamp Duty Calculator found on the Inland Revenue Authority of Singapore (IRAS) website.

For Option to Purchase
(Based on selling price or market valuation, whichever is higher)
Before 20 Feb 2018
First $180,000: 1%
Next $180,000: 2%
Remaining Amount: 3%
On or after 20 Feb 2018
First $180,000: 1%
Next $180,000: 2%
Next $640,000: 3%
Remaining Amount: 4%
For mortgage
(Based on loan amount)
0.40% of the loan granted, subject to a maximum of $500
Note: The stamp duty will be collected by HDB regardless of your loan type

Registration and microfilming
To Registry of Land Titles and Deeds
Caveat and Title Search fees are only payable using cash.

With housing loan from a bank, or no housing loan taken
Buyer’s caveat: $64.45
Mortgagee’s caveat: $0
Title Search fee: $10.40
Total = $74.85

Miscellaneous fees
To HDB (Subject to GST)

$15

If HDB’s solicitor is not acting for you

Type of Fee

Amount

Conveyancing fees
To HDB (Subject to GST)

For transfer: Not applicable
For mortgage*
(Based on loan amount and subject to a minimum fee of $20; fee is rounded up to the nearest dollar)
First $30,000: 13.50 cents per $100 or part thereof
Next $30,000: 10.80 cents per $100 or part thereof
Remainder: 9 cents per $100 or part thereof
* Notes for mortgage conveyancing fees:
For housing loan from HDB
If our solicitor is not acting for you in the mortgage of the flat to HDB, we will charge: A full-scale fee as HDB’s solicitor (subject to a minimum fee of $20 for 1 and 2-room flats, and $40 for other flat types)
For housing loan from a bank
If HDB’s solicitor is not acting for you in the mortgage of the flat to the bank: No mortgage conveyancing fee is applicable

Stamp duty
To Commissioner of Stamp Duties
You can also use the Stamp Duty Calculator found on the IRAS website

For Option to Purchase
(Based on selling price or market valuation, whichever is higher)
Before 20 Feb 2018
First $180,000: 1%
Next $180,000: 2%
Remaining Amount: 3%
On or after 20 Feb 2018
First $180,000: 1%
Next $180,000: 2%
Next $640,000: 3%
Remaining Amount: 4%
For mortgage (based on loan amount): 0.40% of the loan granted, subject to a maximum of $500
Note that the stamp duty will only be collected by HDB if you are taking an HDB loan.

Registration and microfilming
To Registry of Land Titles and Deeds
Caveat and Title Search fees are only payable using cash

For transfer (Only applies if you are taking a housing loan from HDB): $38.30
For mortgage (Only applies if you are taking a housing loan from HDB): $38.30
For caveat:
With housing loan from HDB:
Buyer’s caveat: $0
Mortgagee’s caveat: $64.45
Title Search fee: $10.40
Total = $74.85
With housing loan from a bank, or no housing loan taken:
Buyer’s caveat: $0
Mortgagee’s caveat: $0
Title Search fee: $0
Total = $0

HDB Resale Flat

FINANCING YOUR FLAT PURCHASE

HDB Resale Flat

Financing your HDB Resale Flat Purchase

This information can guide you on the financial planning for your HDB resale flat purchase, and help you to determine the suitable flat choices within your budget, making it easier when it comes to searching for your flat.

To work out a comprehensive financial plan, be sure to consider the following:

Cash and CPF savings

Housing loan

CPF Housing Grant Scheme

Payments involved

Cash and CPF savings

You will probably use both cash and CPF savings for your flat purchase. Your resale flat financial planning should therefore cover:

How much cash is required

Amounts that can be paid using CPF savings

Cash

You must use cash for the following payments:

Deposit to seller (a maximum of $5,000, paid in 2 stages: the option fee, and the deposit)

Part of the initial payment (if you take a bank loan, or have insufficient CPF savings)

Amount not covered by CPF savings and eligible housing loan amount

Cash proceeds from disposing the last flat if you are taking a second HDB loan*

*If you are taking a second HDB loan to buy the resale flat, you will need to set aside part of the cash proceeds from the disposal of the existing or previous flat. That amount will be used to right-size the loan amount for your second HDB loan.

You will also need to set aside cash savings for other expenses such as furnishings, renovation, and some other costs and fees payable.

Cash Saving

The savings in your CPF Ordinary Account (OA) can be used for:

Initial payment in whole or in part (depending on whether an HDB or bank housing loan is used)

Partial or full payment for the flat purchase

Monthly mortgage instalments

However, do take note that the CPF withdrawal limit may only allow you to use a certain amount of your CPF savings for your flat purchase. When that limit is reached, you will not be able to use any more CPF savings to pay for your flat.

Please also note that there may be limits on the use of CPF savings and taking of a housing loan to buy a flat with a balance lease of less than 60 years. Do find out the maximum amount of CPF savings you can use for a flat purchase using these CPF Board services:

CPF Housing Withdrawal Limits Calculator (for flats with a remaining lease of 60 years or more)

Property with Less Than 60 Years Lease Calculator (for flats with a remaining lease of less than 60 years)

You can also check out more information from the CPF Board on using your CPF to buy a new flat. For further enquiries on CPF withdrawal limits.

Housing loan

To help you finance your flat purchase, you may choose to get a housing loan from HDB or a housing loan from financial institutions (FIs)regulated by the Monetary Authority of Singapore.

To take on a housing loan, you need to meet the eligibility conditions and credit assessment criteria. You must also take note of the financing requirements listed below:

Financing requirements:

If you take on a housing loan from HDB:

You must have a valid HDB Loan Eligibility (HLE) letter when the sellers grant you the OTP.

The HLE letter will inform you of the loan amount you can get from HDB. Do exercise prudence and take on a loan amount that you can service comfortably over the loan tenure.

If you take on a housing loan from a Bank:

You must obtain a Letter of Offer from the FI before you exercise the Option to Purchase.

If you are purchasing a flat with a remaining lease of less than 60 years, do note that there may be limits on the use of CPF savings and taking of a housing loan for the flat. Information on the remaining lease of an HDB block is available on the HDB Map Services under “Housing”.

Housing Loan from HDB

We provide housing loans at concessionary interest rate to eligible flat buyers. These loans are subject to credit assessment and the prevailing eligibility conditions.

If you wish to get an HDB housing loan, you need to first apply for and obtain an HDB Loan Eligibility (HLE) letter. The HLE letter will inform you of the amount of loan you can get, based on your financial situation. As a good practice, obtain an HLE letter before you start searching for a flat, as knowing your housing loan amount will help you to calculate your budget to buy a flat.

If you take a housing loan from HDB, do note the following:-

You will need to have a valid HDB Loan Eligibility (HLE) letter when you book a new flat from HDB, or obtain an Option to Purchase from a resale flat seller

When you take a housing loan from HDB, you can later refinance your loan with another housing loan from a bank. However, if you take a housing loan from a bank, you will not be allowed to refinance your loan with a housing loan from HDB

For a second HDB concessionary housing loan, the loan quantum will be right-sized by utilising the CPF monies refunded and some of the cash from the disposal of your current/ previous flat

If you buy or take over an ownership of a flat with a remaining lease of less than 60 years, you may be restricted, or even disallowed from using the savings in your CPF Ordinary Account and taking an HDB housing loan

Buyers of flats with less than 20 years remaining on the lease are not eligible for an HDB housing loan.

Housing Loan from Banks or Financial Institutions

You can choose to finance your flat with a housing loan from a bank that is regulated by the Monetary Authority of Singapore (MAS). If you take a housing loan from a bank, you will not be allowed to refinance your loan with a housing loan from HDB.

When choosing a housing loan from a bank/ FI, assess the different housing loan packages offered by the banks thoroughly and weigh your options carefully. Some key terms and conditions to look out for include lock-in periods, interest rates, and other financial considerations.

If you take a housing loan from a bank/ FI, do note the following:-

You must have a valid Letter of Offer before you exercise the Option to Purchase for the HDB resale flat

You will not be allowed to refinance your loan with a housing loan from HDB

CPF Housing Grant Scheme

You may be eligible for CPF housing grants, which are housing subsidies that the government gives to eligible Singapore Citizens. They can be used for a flat’s initial payment and for reducing the housing loan amount.

Find out about the different types of CPF housing grants.

Payments involved

The main payments you need to make for a resale flat purchase are as follows:

Deposit to seller (option fee and deposit)

Initial payment

Cash payment for balance purchase price (if applicable)

There are also additional costs and fees that you need to be aware of.

Deposit to Seller

This amount can be negotiated with the seller and is taken off the resale price.

Amount to Pay

Payment Mode

When to Make Payment

Up to $5,000 in total, paid in 2 stages.

Cash

1) Granting of OTP
Up to $1,000 is paid as the option fee.
2) Exercising of OTP
A deposit of up to $4,999 (cap of $5,000 minus the option fee amount) is paid.

Initial Payment

You make the initial payment after acknowledging the resale documents in the HDB Resale Portal. The amount is based on the resale price or market valuation of the flat, whichever is lower, as well as whether you are:

Taking an HDB housing loan

Not taking any housing loan

Taking a bank loan

Housing Loan Type

Initial Payment

Mode of Payment

When to Pay

HDB loan/ Not taking any housing loan

10% of the purchase price

CPF

You can use your CPF OA savings (including CPF Housing Grant if eligible) to make the initial payment up to the full 10%. If your CPF OA amount is insufficient, the balance is to be paid in cash.

If you intend to use more than 10% of the purchase price of the flat from your CPF, you must have this amount available in your CPF account before submitting the resale application. Additionally, do note that HDB will deduct all available CPF monies from your OA account before granting an HDB loan.

Cashier's Order

At the resale completion appointment

Bank loan

20% of purchase price for loan ceiling of 80%

CPF
You can use your CPF OA savings (including CPF Housing Grant if eligible) to make the initial payment up to 15%. If your CPF savings is insufficient, the balance is to be paid in cash.

Please check with the bank for the payment schedule for your bank loan

Cash (minimum of 5%)

40% of purchase price for loan ceiling of 60%

CPF
You can use your CPF OA savings (including CPF Housing Grant if eligible) to make the initial payment up to 30%. If your CPF savings is insufficient, the balance is to be paid in cash.

Cash (minimum of 10%)

Cash Payment for Balance Purchase Price

The cash payment for balance purchase price only needs to be paid when the resale price is higher than the market valuation.

Amount to Pay

Housing Loan Type

Payment Mode

When to Make Payment

The difference between the resale price and the market valuation

HDB loan/ Not taking any housing loan

Cashier's Order

At the resale completion appointment

Bank loan

Cash

Please check with the bank for the bank loan payment schedule

Financial Tools

Buying a flat is a long-term financial commitment that could stretch up to 25 years, so it is important to exercise prudence and not overstretch yourself financially.

The following tools will assist you in your financial planning, to find out how much you can afford and borrow for your flat purchase.

You may first wish to check on your eligibility to buy an HDB flat and take an HDB housing loan.

Enquiry on maximum loan

Get an estimate of the maximum loan amount you may obtain from HDB. Please note that you must still submit an HDB Loan Eligibility (HLE) letter to know your eligible loan quantum. Your eligibility for an HDB housing loan and the exact amount will only be confirmed following our credit assessment.

Enquiry on monthly instalments

Work out the monthly instalments for the loan amount you intend to take.

Apply for HLE Letter

Submit your HLE application online along with supporting documents to find out if you are eligible for an HDB housing loan, and the loan amount you can get based on your financial situation. You can also check the status of your HLE application thereafter.

Resale financial plan

Estimate the loan amount and monthly payments for an HDB flat purchase using the Resale Financial Plan.

HDB Resale Flat

REGISTER INTENT TO BUY

HDB Resale Flat

Intent to Buy

Resale flat buyers need to login to the HDB Resale Portal using their SingPass, to start their buying journey.

The portal will guide you through the following steps:-

Register Intent to Buy

Search for Suitable Flat and Get Option to Purchase (OTP)

Choose Mode of Financing

Submit Request for Value to HDB

Submit Resale Application

Acknowledge Resale Documents

Pay Fees (Online Payment)

Approval of Resale

Completion of Resale

There is no fee involved for registering ‘Intent to buy’, and you will receive an instant assessment on your eligibility to buy an HDB resale flat, the housing grants you are eligible for, and your eligibility for an HDB housing loan.

Important Note:

Your Intent to Buy is valid for 12 months. You will need to reapply an Intent to Buy if you do not submit your resale application within 12 months.

The results generated from the Intent to Buy is based on information you have provided. It is only an indication of your eligibility, and does not constitute an approval by HDB to apply for a resale flat or to take up an HDB housing loan or housing grant.

You need to ensure that you provide the correct details when registering your intent. We will reject your resale application if the details submitted are different from that indicated in your Intent to Buy.

HDB Resale Flat

OPTION TO PURCHASE

HDB Resale Flat

Option to Purchase

After registering your Intent to Buy, you can proceed to look for a suitable flat within your budget and obtain an OTP from the sellers when you have agreed on a price for the flat. If you intend to get an HDB housing loan, you will need a valid HDB Loan Eligibility (HLE) letter from HDB before the sellers can grant you an OTP. If you intend to get a housing loan from a financial institution (FI), you must have a valid Letter of Offer (LO) before you exercise the OTP.

You and the sellers must use HDB’s Option to Purchase (OTP) as the form of contract in the transaction. Any other agreements and supplementary agreements relating to the sale or purchase of the flat are not valid under the Housing and Development Act.

You can download a copy of the HDB-prescribed OTP form. Please print only 1 copy of the OTP as each form has a unique serial number.

You will need to read the Important Notes of the OTP and the Terms and Conditions of Resale carefully before entering into a contract. Each OTP has a unique serial number, and you will need to state it when you submit a resale application to HDB.

Procedure to enter into a contract using the OTP

Here are the 5 steps to enter into a contract using the OTP.

Step 1: Negotiate and Agree on the Resale Price.

You and the seller have to negotiate and agree on the resale price of the flat. You can make use of the Resale Flat Prices service to check the transacted resale flat prices for the past 2 years to assist you in making an informed decision on how much to pay for the flat. The figures are updated daily based on HDB’s registratio of the resale applications received.

Before entering into an OTP, ensure that you have:

Registered your Intent to Buy

Applied for an HLE if you intend to take a HDB housing loan

The sellers can grant you an OTP only after you have obtained a valid HLE letter from HDB.

When entering the OTP, take note of the following:

You and the seller must declare the actual resale price of the flat to HDB. Your salespersons must also declare all relevant information relating to the resale transaction in the Salesperson Statutory Declaration.

The penalty for false declaration includes a fine and/ or up to 3 years’ imprisonment.

You and the seller must not enter into any of the following:

Supplementary/ other agreements

Arrangements that may cause the true resale price as declared to be inflated or understated

The penalty for false information includes a fine of up to $5,000 and/ or up to 6 months’ imprisonment.

Step 2: Sellers Grant the OTP to You.

The seller will grant you the OTP to buy the resale flat at the agreed resale price.

You or the seller must fill in these sections in the OTP:

Page 1

Option date

Flat address

Purchase price (resale price of the flat)

Option fee (between $1 to $1,000)

Option expiry date (21 calendar days from the option day, including Saturdays, Sundays and Public Holidays. For example, if the seller grants an Option to you on 1 April, the Option will expire on 22 April at 4pm)

Names and NRIC numbers of all the sellers and buyers

Top half of page 8

Option date

Flat address

All sellers must sign on the OTP

A witness must sign on the OTP (seller’s salesperson or any person who is a Singapore Citizen or Singapore Permanent Resident aged 21 years or above and not involved in the resale transaction)

At this stage, you are not required to sign on the OTP. However, in exchange for the Option, you will need to pay an Option Fee to the seller. The Option Fee should be a sum between $1 to a maximum of $1,000, to be negotiated between you and the seller.

Once the seller has granted the OTP to you, he cannot grant another OTP to another buyer until the OTP granted to you has expired.

Step 3: Make Use of the Option Period to Review the Purchase.

The Option period is 21 calendar days, including Saturdays, Sundays and Public Holidays. It is given to you by the seller, from the date of granting the OTP

You should use the Option period wisely and not rush into exercising the OTP. During this period, you must:

Use the HDB Resale Portal to confirm your mode of financing and request for an assessment of the flat’s value

Decide whether you really want to buy the flat

Confirm Mode of Financing and Request for Value of flat through the HDB Resale Portal

Confirm Mode of Financing:

You need to decide whether you will use cash, CPF savings, and/or a housing loan to finance your flat purchase, and indicate your mode of financing in the HDB Resale Portal.

Request for Value of Flat:

If you are using your CPF moneys and/or taking up a housing loan to finance your flat purchase, you will need to submit a Request for Value to HDB to determine the flat’s value. The assessment will form the basis for your CPF usage and/ or the reference for a housing loan from HDB or bank/ financial institution, unless otherwise advised by a bank/ financial institution. You will need to pay a processing fee of $120 (including GST) to HDB.

If you have engaged the services of a salesperson, your salesperson can submit your Request for Value via the Estate Agent Toolkit (for agencies which are subscribers).

If a valuation of the flat is required, the appointed valuer will contact the flat seller to arrange for a flat inspection. Flat sellers are required to allow the appointed valuer to inspect the flat within 3 working days, as stated in the OTP.

HDB will inform you via email once the value of your flat is available in the HDB Resale Portal, typically within 10 working days from your request.

Important Notes:

You can only submit a Request for Value after you have been granted an OTP by the seller of the flat

You (or your salesperson) must submit to HDB the Request for Value, together with scanned copy of Page 1 of the OTP, by the next working day, after the Option Date. Your salespersons can continue to submit the Request for Value via the e-Resale e-Service or Estate Agent Toolkit (for agencies which are subscribers).

The value of the flat will remain valid for 3 months from the day it is made available in the HDB Resale Portal, if you exercise the OTP. If you do not submit a resale application within the 3-month validity period, you will have to submit a new Request for Value

Step 4a: Exercise the OTP if You Wish to Proceed with the Purchase.

Make sure you have a valid HLE or a Letter of Offer from the bank before getting to this step.

You must have 1 of the following before exercising the OTP:

A valid HDB Loan Eligibility (HLE) letter for taking an HDB housing loanThe date of issue of the HLE must be on or before the Option date (as indicated in Page 1 of the OTP)

A valid Letter of Offer from the bank for taking a bank loanThe date of issue of the Letter of Offer must be on or before you exercise the Option

Exercising the OTP

If you wish to buy the flat, you have to exercise the OTP within the Option Period. You or the seller must fill in:

Clause 6.1(c) on page 2 of the OTP: Option Exercise Fee

Clause 12 on page 4 of the OTP: Number of days from the date of exercising the Option that you and the seller have agreed to submit the resale application to HDB.

Bottom half of page 8 of the OTP:

You and all your co-buyers must sign on the “ACCEPTANCE” section in the OTP

A witness must sign on the OTP (your salesperson or any person who is a Singapore Citizen or Singapore Permanent Resident aged 21 years or above and not involved in the resale transaction)

When you exercise the OTP, you will need to pay a deposit to the seller. The deposit, including the Option Fee previously paid in Step 2, must not exceed $5,000 in total. The amount of deposit is negotiated between you and the seller.

Step 4b: Let the OTP Expire if You Do Not Wish to Proceed.

If you do not wish to proceed with the purchase, you will need to wait for the OTP to expire. Your Option fee will be forfeited to the seller.

Step 5: Decide When to Submit the Resale Application.

After you have exercised the Option, you and the seller have to decide when both of you wish to submit a resale application to HDB. Your portion of the resale application and the seller’s portion of the resale application must be submitted within 7 days of each other. Beside that, both portions must be submitted within the previously agreed number of days on page 4 of the OTP.

You and the seller (or seller’s salesperson) will have to submit the respective portions of the resale application separately. A resale application is deemed complete only when HDB received both portions of the resale application. You and the seller should ensure that all the prevailing eligibility conditions and resale requirements are met, on the day the second party submits his portion of the resale application.

HDB Resale Flat

RESALE APPLICATION

HDB Resale Flat

Resale Application

After exercising the Option to Purchase (OTP), you and the sellers must submit your respective portions of the resale application via the HDB Resale Portal, together with the necessary documents. Salespersons can use the Estate Agent Toolkit to submit resale applications on behalf of their clients.

Upon receipt of the resale application and supporting documents, HDB will verify the information provided by the seller and yourself. You and the seller should make sure that both of you meet all the eligibility conditions and resale requirements when submitting your resale application. If the application is in order, we will notify you and the sellers of our acceptance of the application via SMS/ email. On average, it will take about 8 weeks from the date of our acceptance of the resale application, to process the application.

When must the resale application be submitted to HDB?

You and the seller (or the salesperson) can proceed to submit the resale application after you have exercised the Option to Purchase (OTP). There are 2 important time-specific requirements to observe when submitting your resale application:

(i) Submission by the second party within 7 calendar days

Either you or the seller can submit the respective portion of the resale application first. After the first portion is submitted, the second party must submit their portion within 7 calendar days. If this is not done, the application will lapse and both parties will have to restart the process.

(ii) Submission of application to HDB (according to Clause 12 of the OTP)

Under Clause 12 of the OTP, you and the seller will agree on the timeframe to submit your resale application to us. This is a contractual agreement between you and the seller. The time frame can be extended with mutual consent.

What are the information and documents to be provided when submitting the resale application?

When you are submitting your resale application, you will need to provide the following information:

Indicate whether you are applying for any CPF Housing Grants/ Proximity Housing Grant

Indicate whether you are taking any housing loan from HDB/ Financial Institution (FI)

Declarations regarding your purchase

Resale application fees

Buyers and sellers must submit their respective portions of the resale application to HDB via the HDB Resale Portal. You will each pay an administrative fee (inclusive of GST) of $40 or $80, depending on the flat type.

You can make payment online through the HDB Resale Portal via credit card (Visa or MasterCard), and via GIRO when using the Estate Agent Toolkit.

What happens after I submit the resale application to HDB?

After you have submitted your resale application, please inform your sellers to submit their portion within 7 days. Otherwise the application will be cancelled, and no refund will be given.

Upon receipt of a complete resale application from the flat sellers and buyers, we will verify the eligibility of flat sellers and buyers, and review the supporting documents submitted. If the application is in order, HDB will notify the flat sellers and buyers of its acceptance of the application via SMS and emails, within 7 working days, and post the application progress update in the HDB Resale Portal. The date of HDB’s acceptance of the resale application marks the beginning of the 8 weeks processing time of the transaction.

During these 8 weeks, you will need to endorse documents which HDB have prepared for you through the HDB Resale Portal and pay the necessary fees online. An in-principle approval for resale will be granted once the documents are endorsed. Following which, an appointment will be arranged for buyers and sellers to attend to complete the resale transaction.

Where can I check the status of my resale application?

The HDB Resale Portal provides a step-by-step guide on your buying journey. You can login to the HDB Resale Portal to view your progress and status of your resale application

Cancellation of resale application

Take note of the factors that may cause your resale application to be cancelled.

Your application will be cancelled if any of the following occurs:

The resale is abortive for any reason whatsoever

You and the seller withdraw your application by giving notice in writing to us

You do not have sufficient CPF savings or cash to finance the purchase of the resale flat

The information given in the resale application by the buyer/ the seller is incorrect or the buyer/ the seller has suppressed any information required

The buyer/ seller is not eligible to retain his application under HDB’s policies

HDB Resale Flat

ADDITIONAL INFORMATION

HDB Resale Flat

Additional Information

What are the information and documents to be provided when submitting the resale application?

You may be required to submit supporting documents for your resale application. The list of documents required will be reflected in the HDB Resale Portal when you submit your resale application. If you need time to prepare the necessary documents, you may save your application as a draft, and retrieve your application for submission once you have prepared the necessary documents [saved in the Portable Document Format (PDF)].

The following are documents which you may require for your application:

A copy of

Identity Card or Passport (for non-citizens)

Letter of Offer from a bank or financial institution, if taking a housing loan from a bank or financial institution

When submitting your resale application, you may also be required to provide additional information and documents for verification.

Read on to find out what are some of the common information and documents required:

Manner of Holding

If you are buying the resale flat jointly (up to a maximum of 4 owners), you will have to decide how you and the other co-owners want to hold the property and indicate the manner of holding in your resale application. There are 2 types of joint ownership: Joint Tenancy and Tenancy-in-common.

Joint tenancy

All the flat owners have an equal share on the flat regardless of how much each co-owner contributed to the purchase of the flat.

The right of survivorship applies here. This means that should any co-owner pass away, their interest in the flat would be automatically passed on to the remaining co-owners. This is regardless of whether a will had been made by the deceased co-owner.

Tenancy-in-common

Each co-owner holds a separate and definite share in the flat. Nevertheless, all the co-owners are entitled to use the whole flat, regardless of their share in the property.

The right of survivorship does not apply here. On the death of any co-owner, their interest in the flat will be distributed according to their will (if any). If there is no will, their interest in the flat will be distributed to the beneficiaries in accordance with the Intestate Succession Act.

Ownership of Property

Flat buyers will need to dispose of their existing flat/interest in residential properties in Singapore or overseas within 6 months of buying a resale flat.

You (buyer), your spouse, co-applicants, and any occupiers listed in the resale application must declare your interest or ownership in any private property, when submitting your resale application. This includes private residential, commercial (including market/ hawker stalls), and industrial properties, both in Singapore and overseas.

If you own or have an interest in a private residential property, you are required to dispose of your interest or ownership in the private residential property within 6 months of buying a resale flat, and provide the documentary proof to our HDB Branch.

Appointing a Power of Attorney

When buying a resale flat, you may need a Power of Attorney if you are unable to attend to certain matters personally.

When is the Power of Attorney required?

A Power of Attorney (PoA) is a legal document that allows a person (‘donor’) to appoint another person (‘attorney’) to act on his behalf and in his name on matters specified in the PoA.

When buying or selling an HDB flat, certain matters must be attended to at different stages of the process. For example, signing of documents, such as:

Option to Purchase

Application forms

Declarations forms

Legal documents

The PoA is required if you are unable to attend to these matters personally. You are advised to consult a private solicitor in Singapore to prepare the PoA.

What must you and your private solicitor do?

Step 1: Preparing the PoA

You must get a solicitor to prepare the PoA.

Step 2: Signing the PoA

The PoA has to be signed by you in the presence of your solicitor. If you are already overseas, you must sign the PoA in the presence of one of the following parties:

Notary Public*

Singapore High Commission

Singapore Ambassador in the country of your stay

*With effect from 1 Mar 2017, if you are using CPF monies to buy a flat, the CPF Board does not accept PoAs witnessed by overseas Notary Publics. The PoA must be witnessed and sealed/ stamped by an official from a Singapore Overseas Mission instead. You may visit the Ministry of Foreign Affairs’ Website for more details on the nearest Singapore Overseas Mission.

Step 3: Registering the PoA

After your PoA has been signed, your solicitor will register the PoA with the High Court Registry.

If you are obtaining a PoA, you are required to indicate this in the application form and submit the following documents to us:

Certified true copy from the High Court + 2 photocopies

2 certified true copies of the PoA registered with the High Court by an Advocate and Solicitor

A letter from the solicitor confirming that the standard format for PoA provided by HDB has been used

Certified true copy by an Advocate and Solicitor together with the computer printout with the High Court seal where PoA has been registered through the Electronic Filing System

Important points to note:

If you are travelling overseas, you are advised to obtain the PoA before leaving the country

You must personally sign the following documents:

Application Form

Statutory Declarations (you must sign in the presence of a Commissioner of Oaths or Notary Public)

Any undertakings

If you have submitted an original PoA or a certified true copy of the PoA from the High Court to us, it will be returned to your solicitor. This is after the Lease & Mortgage document has been registered with the Singapore Land Authority

Certified true copies of the PoA by your solicitors will be retained by HDB

Engaging a Solicitor

You are required to indicate in your resale application whether you are appointing HDB solicitors or your private solicitors to act for you in the conveyancing of the resale transaction.

You are required to indicate in your resale application whether you are appointing HDB solicitors or your private solicitors to act for you in the conveyancing of the resale transaction.

If you wish to engage HDB solicitor’s, you may refer to information on ‘Finances > Costs and Fees > Legal fees’ for a breakdown of legal fees payable.

If you are an undischarged bankrupt

If you are a undischarged bankrupt, prior consent from the Official Assignee (OA) or the private trustee may be required when buying a flat.

If you are a undischarged bankrupt, prior consent must be obtained from the Official Assignee (OA) or the private trustee, if

You are applying to buy an HDB flat that is bigger than a 5-room flat or a 3Gen-flat.

You are buying any flat type with a net purchase price of $500,000 or above, after taking into account any HDB subsidies or levy.

You do not need to seek prior consent from the OA or the private trustee to be listed as an occupier of a flat.

You are required to indicate in your application form whether you are an undischarged bankrupt and whether you have obtained the written consent from the OA to buy the flat.

Temporary Extension of Stay

When the resale flat transaction is legally completed, the flat sellers are required to move out. Flat sellers may arrange with their flat buyer to extend their stay temporarily in the flat, for a period of up to 3 months from the completion of the resale transaction.

To ease sellers’ transition to their next home, flat sellers may arrange with their flat buyers to extend their stay temporarily in the flat, for a period of up to 3 months after the legal completion of the resale transaction.

Flat sellers are eligible to apply for the temporary extension of stay if:

They have exercised an Option To Purchase or signed a Sale and Purchase Agreement for a completed housing unit (can be another HDB flat or private residential property) in Singapore at the time of the resale application

They are not renting out the whole flat at the time of resale application

They are the contra party if the transactions are under the Enhanced Contra Facility

How it affects you

If you agree to the temporary extension of stay, the computation of the commencement of the MOP will be set back by the period of the Temporary Extension of Stay. As legal owners of the flat, you must pay the following during the period of extension (the list may not be exhaustive):

Monthly instalments for housing loan

Service & Conservancy Charges (without rebates)

Administrative fee and submission procedure

The temporary extension of stay is subject to the agreement of the flat buyers and the request is to be submitted to HDB at the time of the resale application. An administrative fee of $20 (inclusive of GST) is payable by the flat buyers after we have processed your application.

Buyers and sellers may formalise their agreement on the terms of the extension of stay, and if any monetary compensation is required from the flat sellers. This will be a private arrangement.

Expiry and termination of Temporary Extension of Stay

The extension of stay will be automatically terminated at the end of 3 months. Flat buyers must inform HDB via My HDBPage if they terminate the extension earlier. The computation of the MOP for the new owners will commence after the extension of stay is terminated.

HDB Resale Flat

ENHANCED CONTRA FACILITY

HDB Resale Flat

Enhanced Contra Facility

With the Enhanced Contra Facility (ECF), you can sell your existing HDB flat and at the same time, buy another resale HDB flat using the sale proceeds and refunded CPF monies. However, the refunded CPF monies cannot be used for the payment of stamp duty and conveyancing fees. The ECF is jointly implemented by the CPF Board and HDB.

Application for ECF

Before submission of resale application:

If you or the buyer have not submitted the application for the sale of the existing HDB flat, please indicate in the Resale Application form that the buyer is opting for ECF. The resale application and ECF opt-in can be made via either of these methods:

HDB Resale Portal

Estate Agent Toolkit (if you have signed up for the Estate Agent Toolkit)

After submission of resale application:

If you or the buyer have already submitted the application for the sale of the existing HDB flat, please download the ‘Application for Enhanced Contra Facility’ form, and submit the completed form to us by fax, post, or in person at our Resale Office. The contact details can be found in the form.

ECF terms and conditions

Please note the terms and conditions for the ECF which include important information about application conditions, usage of cash proceeds and CPF funds, approval conditions, and cancellation of the ECF. These terms and conditions are in addition to HDB’s Terms and Conditions of Resale/ Purchase of an HDB resale flat.

Application Conditons

You may apply for the ECF if you are selling your existing flat (Flat A) and buying an HDB resale flat (Flat B). The ECF can be used to finance the purchase of Flat B, including the insurance premiums for the CPF Home Protection Scheme. However, your buyer (of Flat A) and the seller (of Flat B) must not have applied for similar contra facilities for their flats

The seller of Flat A must not be an undischarged bankrupt or have any bankruptcy proceedings commenced against him or her. HDB may not approve the ECF application if any of the following apply:

There is a mortgage in favour of a financial institution

There is a CPF mortgage/ charge on Flat A and/ or Flat B

Private solicitors have to be engaged

The ECF is not available for the following types of resale applications:

Conversion Scheme

Sale of part-share of an existing flat

Contra party buys another resale flat using a housing loan from a bank

The resale of Flat A must be completed before or on the same day as the completion of the resale of Flat B

Use of CPF Monies or cash from the sale of Flat A

You can only use the cash proceeds from the sale of Flat A (your existing flat) to pay part of or the full amount of the resale price of Flat B (the flat you are buying) after you have used:

All of the existing balance in your CPF Ordinary Account

All of the CPF monies refunded to your CPF Ordinary Account from the sale of Flat A that are available for use under the ECF

The contra amount of CPF monies to be used will be calculated up to the date of the HDB First Appointment

‘Cash proceeds’ refers to the net amount payable to you after deducting the following from the sale price:

Deposit paid

Outstanding mortgage loan to HDB

Resale/ upgrading levy

All CPF refunds plus interest

Other sums due and payable to HDB

Note: Where CPF monies are used in the purchase of Flat B, the withdrawal of such CPF monies is subject to CPF Board’s rules and regulations.

Approval Conditons

HDB reserves the right to withhold consent, revoke approval, vary, or cancel the ECF at any time, if any of these occur:

The contra party is made bankrupt or has bankruptcy proceedings commenced against them pending the completion of the 2 resale transactions

The contra party passes away before the completion of any of the resale transactions

The contra party infringes any of the provisions of the Central Provident Fund Act (Cap. 36) and the regulations made thereunder and the terms and conditions imposed by the CPF Board

Any of the parties infringes any of the provisions of the Housing & Development Act, prevailing policies, rules, and regulations

The resale of Flat A is delayed, aborted, or not completed

The monies in the CPF Ordinary Account are subject to a charging order made pursuant to an Order of Court

The proceeds from the sale of Flat A (cash and/ or CPF) cannot be used to finance the purchase of Flat B under the ECF for any reason whatsoever

Cancellation of ECF by HDB

If HDB revokes, varies, or cancels the ECF, or if the resale of Flat A is delayed or aborted for any reason whatsoever:

Where the completion date for the resale of Flat B has not been fixed by HDB, the contra party shall pay:

All monies to be utilised under the ECF towards partial/ full payment of the resale price for Flat B, within 10 days from the date of notification by HDB that the ECF has been varied or cancelled

The balance of the resale price of Flat B on the day of completion

Where the completion date for the resale of Flat B has already been fixed, the contra party will be given notice to pay, within 10 days, all monies to complete the purchase

HDB reserves the right to reschedule the completion dates of Flat A and Flat B

The CPF Board shall be authorised to make the necessary amendments to the ‘CPF Application for Withdrawal Under Public Housing Scheme’ form signed by the contra party during the HDB First Appointment.

HDB Resale Flat

AFTER SUBMITTING A RESALE APPLICATION

HDB Resale Flat

After Submitting a Resale Application

After HDB receives the complete resale application from the flat sellers and buyers, we will prepare the necessary documents for buyers’ and sellers’ endorsements. You are required to endorse the documents through the HDB Resale Portal and pay the necessary fees online. An in-principle approval for the resale application will be granted once the documents are endorsed and necessary fees paid. An appointment will then be scheduled for buyers and sellers to attend to complete the resale transaction.

Read on for more details about the procedure.

Acknowledge and Endorse Resale Documents

After you have submitted your resale application, we will compute your financial plan, and prepare the documents for the withdrawal of your CPF monies and online health declaration for coverage under the Home Protection Insurance Scheme. We will also prepare the forms and undertakings for the buyers and sellers to endorse.

Once these documents are ready, they will be posted on the HDB Resale Portal. We will notify buyers and sellers via SMS to endorse these documents within 6 days. A reminder SMS will be sent if the documents are not endorsed, and the resale completion date will be postponed, if buyers or sellers fail to endorse the documents within the extended deadline.

Important note:

The resale documents must be endorsed individually by all the buyers.

You are required to read through the documents before endorsing them. You can check the status of the whole endorsement process via the HDB Resale Portal.

The documents are provided in pdf format. You can save a copy for reference.

If you have questions on the draft financial plan or the resale documents, you can contact the Customer Relations Manager (CRM) in charge of your application for clarifications. The CRM’s details are provided on the HDB Resale Portal.

Documents for endorsement includes:

Buyer’s financial plan

HDB will prepare a proposed financial plan based on what you have indicated in your resale application

If you wish to make changes to the draft financial plan, you can revise your financial plan on the HDB Resale Portal, and endorse the revised financial plan.

CPF Withdrawal

HDB will prepare for the withdrawal of your CPF monies based on your agreed financial plan. With your endorsement on the HDB Resale Portal, the CPF Board will release your CPF monies to pay for your flat purchase.

Please ensure that you and your co-buyer(s) have sufficient CPF funds in your respective CPF Ordinary Accounts for the payment.You may have to top-up the difference in cash if there are insufficient funds in the CPF accounts at the point of the deduction.

Health Declaration Forms for Home Protection Scheme

You are required to fill up the Health Declaration Forms (HPS) to declare your share of coverage and health status, to apply for the CPF Board’s Home Protection Insurance Scheme.

Resale documents for acknowledgement

Pay Resale Fee:

After endorsing the resale documents, you will be directed by the HDB Resale Portal to make payments for the legal fees (conveyancing, title search and caveat fees) online.

You can make the payments online by using your Visa or MasterCard credit card. If you are unable to make payment online, you can print the payment advice and proceed to the Payment Office at Level 3, HDB Hub to make payment, within the notice period given by HDB.

Wait for Approval

We will grant an approval for the resale, typically within 2 weeks after the sellers and buyers have endorsed on the documents prepared by the HDB. Buyers and sellers are advised to respond promptly to prevent any delay or cancellation of the resale application.

Once the resale application is approved, flat sellers and buyers will be notified via SMS and emails. The approval letter will also be posted on the HDB Resale Portal for buyers and sellers viewing.

Completion of Resale:

Following the resale approval, HDB will prepare for the completion of the transaction.

Buyers and sellers are required to attend the resale completion appointment if they have engaged HDB’s solicitors to act for them in the conveyancing of the resale transaction.

Once the completion is scheduled, we will notify the flat buyers and sellers via SMS. The completion letters will also be posted on the HDB Resale Portal.

APPOINTMENT AT HDB

HDB Resale Flat

Appointment at HDB

With the streamlined resale process, buyers and sellers are required to attend only 1 resale appointment at HDB. You will need to be present for the resale completion appointment, if you have engaged HDB’s solicitor to act for you. If you have engaged your private solicitors to act for you, your solicitor representative can attend the resale completion appointment on your behalf.

Resale Completion Appointment

The Resale Completion Date is scheduled about 8 weeks from the date of HDB’s acceptance of the resale application. We will notify you via SMS about the actual date and time of your resale completion appointment at HDB Hub, once it is scheduled. You can also check the appointment details from the HDB Resale Portal.

Legal documents which require physical signatures will be signed by the buyers and sellers at the completion appointment. If you are unable to attend the resale completion appointment, you contact your Customer Relations Manager (CRM), who will advise you accordingly. Details of your CRM can be found on the HDB Resale Portal.

Things to do before the Resale Completion:

Inspect the Flat

Make sure that the flat is vacant and the physical condition is acceptable before you take possession of the resale flat.

Buy Fire Insurance

If you are taking an HDB housing loan, it is mandatory to buy Fire Insurance from HDB’s appointed insurer, ETIQA (at HDB Hub, Atrium 1st Storey, Counter 1), with the Resale

Completion Appointment letter. You can purchase the fire insurance online at ETIQA’s website or at HDB Hub, Atrium 1st Storey, Counter 1, with the Resale Completion Appointment letter on the day of the Completion Appointment. Buyers must produce a valid Certificate of Insurance during the Completion Appointment.

Payment

If you are taking an HDB housing loan, you must pay the balance of the purchase price of the flat and any outstanding Stamp Duty, on the Resale Completion Date. You can print a copy of the payment advice on the HDB Resale Portal, and bring it along for payment (by Cashier’s Order and/or NETS) at the Payment Office, Level 3, HDB Hub, before you meet the Customer Relations Manager for the Resale Completion.

During the Resale Completion Appointment

The appointment is for us to witness:

The signing of the transfer document by the seller of the resale flat

The signing of the mortgage document/ agreement by you (if you are taking an HDB housing loan)

The handing over of the keys from the seller to you (or to your lawyer if you took a bank loan and engaged the bank’s lawyer to act for the purchase) after:

The buyer confirms that the flat has been vacated and the conditions are acceptable (buyer should arrange for a final inspection of the flat with the seller before the date of completion)

The sellers have to pay the service and conservancy charges up to the day of resale completion. As for property tax, they are required to pay up to the end of the year

Temporary Extension of Stay

After the sale/ purchase of the resale flat is legally completed, the seller is required to move out. However, sellers can arrange with buyers for a temporary extension of stay of up to 3 months after the legal completion of the resale transaction, if they are unable to move out immediately.

HDB Resale Flat

CONDITIONS AFTER BUYING

HBD Resale Flat

Conditions after Buying

After buying a HDB resale flat, there are several conditions you need to take note of. Read on to find out more.

Minimum Occupation Period (MOP)

You must occupy the flat for a minimum period of 5 years before you can:

Sell the flat in the open market

Rent out the whole flat

Invest in private property, both local and overseas

The MOP starts from the day your flat purchase is completed.

Waiver of MOP (only for Top-Up Grant)

If you and your spouse each own a flat and wish to dispose of both flats to get an HDB resale flat using the Top-Up Grant, the MOP may be waived for 1 flat to allow you to sell it in the open market. The other flat can be transferred to eligible family members or persons.

Disposal of Existing Flat

Disposal of existing ownership/ interest in property in Singapore or overseas other than HDB flats

You, your spouse, co-applicants, and any occupiers listed in the resale application must dispose of any interest or ownership in any private residential property within 6 months of buying a resale flat

Resale Levy

A resale levy needs to be paid when you buy or take over ownership of another subsidised flat.

Refund CPF Monies

When you sell the flat bought using a CPF Housing Grant, all of the CPF monies (including the CPF Housing Grant) used for the purchase of that flat will need to be returned to your CPF account.

Further Conditions for Proximity Housing Grant

When you get a Proximity Housing Grant for buying a flat with or near to your parents’/ married child’s home, your parents/ married child must remain residing within 4 km of your flat throughout the MOP.

The parents/ married child must endorse an undertaking in the HDB Resale Portal.

Citizen Top-Ups for Grants Received by SC/SPR Households

SC/ SPR households that received a lower CPF Housing Grant can apply for the Citizen Top-Up of $10,000 when the SPR family member takes up Singapore Citizenship, or when they have an SC child. You must apply for the Citizen Top-Up within 6 months of being eligible for it.